Most people have credit cards these days, and those who don’t usually have a debit card associated with their bank accounts. Cards are now so widely used that just about every business accepts them, especially in the last few years where services like My Payment Savvy have made it easier for even small traders to have card transaction infrastructure.
Of course, you can also use cards to take cash out of the ATM, and if you are used to paying for things with ‘real money’ you may see no reason to pay with your cards even though the option is there. However, there are a number of reasons why it actually makes a lot more sense to carry minimal cash and use your cards wherever you can. Here are just three of them:
One of the primary reasons why it is better to do the vast majority of your shopping with cards is that it is much safer than carrying a lot of cash around. If you have your wallet or purse stolen, it is a very simple process to cancel your cards and have new ones sent, however if all of your money for the week or for a big purchase was in there in cash form, there’s not much chance you will ever get it back. This is often something people don’t think about until it happens to them, but consider that theft isn’t the only scenario where your cash money could be gone – you could lose it, or even accidentally put it through the washing machine, and because it is physical paper there is no way to get the value back.
Paying by card is usually much quicker than paying with cash, as your cashier doesn’t have to open up the drawer and count out your change. This doesn’t just mean you can complete your purchase faster, but also that you won’t hold up other people who are waiting in line behind you. It’s a small thing but when everybody does it, lines move faster and everyone is happier!
Your Credit Rating
One of the best reasons to use credit cards specifically, is that they can do wonders for your credit rating. Debit cards don’t affect your credit score because they use money already in your account, but if you use a credit card then pay it off in full every month instead of using the money as cash or through your debit card, you won’t have to pay any interest and your credit rating will improve quite quickly. A good credit rating gives you far more options when you want bigger financial products like car loans or mortgages, and will also mean you can have higher credit limits in future which will give you more flexibility.
So, try switching cash for cards for both immediate and long term benefits, as well as better peace of mind when you are out and about.